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Royal Enfield waiting period to extend due to Chennai rains

Royal Enfield production capacity

Heavy rains and severe flooding across Chennai has had devastating effect on both lives and property. Auto industry too has been hit hard. One of the brands, who has been in Chennai, Royal Enfield reports production loss of 11,200 bikes.

Chennai saw the highest rainfall in over a century. This resulted in hundreds of people losing their lives and thousands losing their home. The damage to auto industry has been huge due to untimely and heavy rains across Chennai followed by extensive flooding.

Some of the brands who have manufacturing plants in Chennai are Hyundai, Renault-Nissan, DICV (BharatBenz, Mercedes Benz), BMW, Royal Enfield and hundreds of OEMs. Everyone has suffered production loss, which is nothing but revenue loss to the tune of thousands of crores.

Upcoming Royal Enfield Himalayan

Upcoming Royal Enfield Himalayan

Royal Enfield has revealed that their production facility in Thiruvottiyur and Oragadam has been shut since December 1, 2015. This has caused loss to the company to the tune of 11,200 Royal Enfield motorcycles. Though operations commenced on December 7th, production did is yet to get completely on track as the company is facing high level of absenteeism both from employees and local suppliers in the region. Currently running at 50% capacity, Enfield Motors could see 100% capacity only by next week.

Though no damage to property or machinery was reported and all employees are safe, the company suffered loss of 7,200 bikes due to closure of company plants between December 1-6, 2015 while rains in November added a further 4,000 bikes due to low production.

Enfield Motors has stated that exact extent of losses is yet to be determined which can only be done once full fledged production operations commence. In the mean time waiting period of both Royal Enfield Classic and Thunderbird bikes have been extended and could go upto 3-4 months as per dealer estimation.

Royal Enfield Himalayan – Spyshots

Chennai Floods – Photos



About the author

Pearl Daniels

Pearl Daniels

Former freelance writer, Pearl Daniels is in the auto industry since 2011, having established herself as a widely read staff writer since 2013. Her keen eye for industry news, daily need to break down latest events, and quest to not miss a single launch detail, gives you the most refreshing morning news on weekdays.

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